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Landbank opens billion-peso agri credit facility for OFWS

Land Bank of the Philippines (Landbank) has opened a P1-billion credit facility for overseas Filipino workers (OFW) who are planning to invest in local agriculture.

The OFW Reintegration Program provides returning OFWs with a credit line and technical assistance on agriculture and fisheries enterprises.

According to Edgardo De Guzman of Landbank's lending management group, the credit facility will be covered by a guarantee from the Department of Labor and Employment through the Overseas Worker Welfare Association (OWWA).

The memorandum of agreement for the credit facility was signed between Landbank, DOLE and the Department of Agriculture on May 7.

Loan applicants must be members of OWWA and submit a business plan, a certification from their barangay verifying their address, and an application form. They must also complete the agency's entrepreneurship development training.

They will then proceed to the nearest Landbank Lending Center for consultation and the evaluation of their business proposal.

Active OFWs may also apply, if they execute a special power of attorney in favor of their spouse, parent or children.

Loan recipients may use the money as working capital or for fixed asset acquisition. Loan amounts range from P300,000 to P2 million.

While it will not provide funding for the project, the Agriculture Department will offer technical assistance (including trainings, management and marketing assistance, and support services) to loan recipients.— BM, GMA News